Starbucks has been ordered to pay an additional $2.7 million to a former manager in Philadelphia after she was fired five years ago in what she claims was a decision based on her being a White woman.
The woman who accused the coffeehouse company of racism was identified as Shannon Phillips, who was previously awarded $25.6 million in June. It came after a federal jury determined that she was wrongfully fired because of her skin color.
Starbucks To Pay Former Manager Additional $2.7 Million
On Wednesday, U.S. District Court Judge Joel Slomsky ruled that Starbucks was also mandated to give Phillips $1 million in back pay, $1.6 million in front pay, and roughly $66,000 in tax gross damages. The judge wrote in his decision that the payments were part of a "court-determined economic loss and attorneys' fee award.
On Thursday, the coffeehouse company declined to comment on the order for additional pay and was found to have argued last month that the former manager did not deserve more payments. It argued that this was partly due to Phillips not looking for a job since separating from Starbucks and inaccurate back pay calculations, as per CBS News.
In court documents, Starbucks lawyers said that not only has Phillips removed herself from the job market, she did not even pursue a potential career with 7-11 that would have given her similar or even more compensation than her previous position with the coffeehouse company before her current role at Raymour & Flanigan.
Phillips' role as a former regional manager for Starbucks had her overseeing dozens of coffee shops in the Philadelphia area. The decision to fire her came after a 2018 incident at a branch in the Rittenhouse Square neighborhood of the state.
That particular occurrence involved two Black men who were in their 20s and were waiting for a third person to hold a business meeting at the Starbucks store. Then, one of them, identified as Rashon Nelson, was denied permission to use the store's restroom because he had not yet purchased anything.
Alleged Racial Discrimination
An employee then called 911 and accused the two Black men, Nelson and Donte Robinson, of trespassing after they refused to buy anything or leave when asked. According to ABC News, the incident resulted in widespread protests across the United States and forced Starbucks to close some of its branches for one day for racial bias training of its employees.
Less than a month after the arrest of the two men, Phillips was told that she was being fired from the company. The decision came despite her claiming she was not at the store where the two Black men were arrested.
Phillips argued in her initial complaint that Starbucks made efforts to punish White employees who were not involved in the arrests but worked in and around the city of Philadelphia. She said that this was part of an effort to convince the community and the public in general that it had already responded to the incident with the two Black men properly, said CNN.